Homer Electric Association (HEA) members will see a reduction in their monthly bills beginning January 1, 2016, as a result of a decrease in the Cost of Power Adjustment (COPA).
The COPA is adjusted on a quarterly basis and mostly reflects the cost of natural gas used to generate power for HEA members.
The COPA rate for the first quarter of 2016 is calculated to be $0.06656 per kilowatt hour. This is a decrease of $0.01251 from the current COPA rate of $0.07907 per kilowatt hour. The COPA change will result in a decrease of $6.88 in the monthly bill for the average residential HEA member using 550 kilowatt hours a month.
In addition, a proposed interim 3.25 percent base rate and customer charge increase submitted by HEA to the Regulatory Commission of Alaska (RCA) has been put on hold and will be the subject of further review by the RCA.
The new Cost of Power Adjustment (COPA) rate will go into effect for all billings as of January 1, 2016.